What credit cards will my business be able to accept?
I have a small business and want to increase credibility, customer convenience on sales by accepting credit cards. Statistics say accepting credit cards can increase sales by 30 to 100% .What credit cards will my business be able to accept?
Tags: able, business, Cards, Credit
As a business, the four major credit cards are the ones that you can accept. Visa, Mastercard, American Express and Discover.
When wanting to set up an account, you must first consult with the acquiring bank to asses your business. This will allow the merchant to asses what kind of fees and charges you will be required to pay for each transaction (they take a percentage of each total sale.)
They will review:
your business history and performance
business accounts
your forecast turnover
average transaction values
transaction frequencies
the type of goods you sell
the proportion of transactions you expect to receive by phone or online
your suppliers’ details
how you deliver your goods or services
It takes between one and four weeks to open a merchant account. The process may take slightly longer for start-up businesses and banks may want to see additional information such as a business plan and cashflow forecasts.
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There are many options available depending on what type of business you have. In addition to the top 4 : VISA/MC/Discover/AMEX, you may also have Diners Club if you have a resturaunt. If you have a convenience store offering gasoline, you may also want to consider Fleet cards such as Fuelman and Voyager.
There are a few requirements for new businesses to complete before they can process cards:
Business License
Business Bank Account
Fair Credit if you have retail business
Good credit if you have Internet business
For the major accounts (Visa & MC) your pricing will differ greatly depending on the type of transactions you take. Such as:
How you take payment: Mail, telephone, In person Swipe
What type of customers do you service: Business or Individual
What ever the case you can expect to pay somwhere between 2.50 – 3.00% of the dollars you sell through credit cards. You will also find that most proceesors will charge you for the equipment to process the cards.
I have found a proceesor who provides great rates and FREE equipment placement:
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